What is ‘premium on purchase’?

Marc Page

May 12, 2019 12:34

Updated

The Premium/Discount on Purchase is the percentage difference between the amount paid for a Resale investment and its Latest Valuation at the time of purchase. It is positive (a ‘premium’) when the amount paid is greater than the Latest Valuation at the time of purchase and negative (a ‘discount’) when the amount paid is lower.

For example, if you purchased a Resale investment for £10,200 (share price of £1.02) but the Latest Valuation of the shares acquired was £10,000 (share price of £1.00), then the Premium paid would be 2%.

Comments

Property Partner™ is the trading name of London House Exchange Limited, which is authorised and regulated by the Financial Conduct Authority (No. 613499). London House Exchange Limited (No. 08820870) and its wholly owned subsidiary, Property Partner Nominee Limited (No. 09060483), are both limited companies registered in England and Wales with registered office at 55 Baker Street, London, England, W1U 7EU. London House Exchange Limited is wholly owned by LHE Holdings Limited (No. 125065), a limited company registered in Jersey with registered office at 44 Esplanade, St Helier, Jersey JE4 9WA.